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The Bay vs. Holts: the Bay’s scheme to steal the fashion crown from Holts

The sensible shoes and twin–sets are gone, replaced by stilettos and crystal-encrusted gowns. There’s valet parking and personal shoppers, and they’re serving champagne up on three. It’s all part of the Bay’s scheme to win the loyalty of society shopaholics—and steal the fashion crown from Holts

(Image: George Pimentel)

One evening last March, Toronto’s stylish set put on their best frocks and headed to a retail baptism. Sarah Jessica Parker, celebrity high priestess of fashion, was in town to launch the Halston Heritage label at The Bay. The party, which reportedly cost over $200,000, was meant to establish Canada’s oldest department store as a major player in high-end womenswear. If retailers can be born again, this was The Bay’s moment to lean back and dip its head into the holy water.

Fashion media and socialites were ushered into the Queen Street flagship store and up the escalator to sip champagne on the third floor. That’s where The Room is located. The upscale designer dress salon was renovated a year ago for approximately $4.4 million in a high modernist style by the designers Yabu Pushelberg. The result is a treasure trove of conversation piece baubles, heels, flirty cocktail dresses and gowns by some of the most prestigious designers in the business. It’s the beating heart of the new Bay.

The Halston invitation promised a chance to meet Parker for some chit-chat and a casual photo op. The stable of thoroughbred clothes horses in attendance that night included Wendy Melvin, the executive headhunter; Simona Shnaider, the wife of the billionaire steel magnate Alex Shnaider; and socialites Stacey Kimel and Catherine Nugent (who wore an original custom-made Halston suit). The dapper designer Wayne Clark rubbed shoulders with then-MTV Canada host Jessi Cruickshank, who bopped in wearing a Halston onesie. An immaculately coiffed Laureen Harper was toured around by Jeanne Beker. The in-store event was followed by a dinner at One Restaurant at the Hazelton Hotel for executives and VIPs. A Studio 54–themed after party was held for 700 slightly less important guests, who danced and drank the night away on a custom-constructed light-up dance floor at the nightclub This Is London.

Sarah Jessica Parker (Image: George Pimentel)

If you believe what you read on Twitter, this campaign to seduce the city’s most sought-after shoppers worked. During the event, Flare editor-in-chief Lisa Tant tweeted that Toronto’s socialites and Canada’s first lady were “breathless” in the company of Parker. Cruickshank overshared about nearly “wetting” herself with excitement. Another party guest compared the vibe in the room to “a bunch of eight-year-old girls waiting to meet Barbie.”

Earlier that night, before Parker arrived in a pair of four-inch silver Ferragamo heels, The Bay’s president and CEO, Bonnie Brooks, had some last-minute business to attend to. A female security guard wearing a poly-blend outfit was stationed at the party’s entrance and looked as frumpy as, well, a Hudson’s Bay security guard. Taking one look at the guard, Brooks instructed an office minion, “Get her out of here.” The order, like all of Brooks’ wishes, was immediately carried out. Such gaffes are small compared to what Brooks faces on her mission to remake the dowdy institution into a major fashion player. She can banish all the badly dressed people she wants, but will The Bay ever be seen as the most glamorous department store in Toronto? Not if the current holder of that title has anything to say about it.

Not since The Bay flogged beaver pelts has the company set its sights so high

The Bay is enormous. It’s Canada’s original big box chain, with 92 outlets from coast to coast, and it thought big from the beginning. Famously founded in the mid–17th century as a string of British-run trading posts (King Charles II signed the Royal Charter granting the company land and trading rights), the Hudson’s Bay Company didn’t branch into department store retail until 1913, when it launched its original six outlets in Western Canada. The first stores were modelled after Harrods in London—sprawling, diverse, one-stop shopping emporiums. They carried everything from stockings to liquor to tinned fish.

Holt Renfrew, The Bay’s main competitor for fashion shoppers, is small and chic—the little black dress of department store chains, with only nine outlets across Canada. Founded in 1837 (the same year as Tiffany and Hermès), it began as a hat store in Quebec City and for several decades served as the official furrier to the royal family. Holts hit its stride by bringing Christian Dior’s New Look to Canada in 1947. Exclusive accounts with other major European fashion houses soon followed, and Holts was established in its modern role as the country’s major high-end fashion retailer.

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32 Comments

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  1. Great attempt… but lets face it – The Bay on Queen will never be the same SIMPSONS on Queen. Have you ever seen the line up, tons of staff walking around and no one on cash to attend to you or answer a question ? Get real. At least Holts is a little better, its just the staff at Holts have such bad attitude, I would rathe rnot deal with them. You can never win!

    November 1, 2010 at 1:27 pm | by Pee
  2. High-end department stores in Canada, albeit mostly in Toronto, are a bit disdainful. It is unfortunate I choose to do my designer purchases overseas or online, if a plane isn’t within reach. Although, with a recent and most ever appreciated encounter with The Room, I will have to vouch for The Bay’s The Room for having fantastic Customer Service – unlike some of its unfortunate, and fairly snooty counterpart.

    November 1, 2010 at 3:54 pm | by Le
  3. Wow, had no idea about Shinan Govani and his boyfriend at the Bay. Seems very unethical that he doesn`t mention the connection when he writes.
    Holts is still better than the Bay, but maybe they will catch up soon.

    November 2, 2010 at 2:29 pm | by TOgal
  4. I think this article forgot one essential aspect of Toronto’s retail fashion landscape, our amazing independent boutiques.

    The Bay and Holts can compete all day long brining in designers and runway lines that are really for show as seen on their sale racks every season. What’s going to win customers over is service which is a unique shopping experience these days. You should be giving credit to Independents like TNT, Harry Rosen, Over the Rainbow and DAVIDS who offer all the designer brands as well as the customer service luxury shopping deserves.

    November 2, 2010 at 7:19 pm | by Service lover
  5. After attending a designer’s spring / summer preview earlier this week, I can definitely appreciate the strides The Bay has made to improve it’s image. The Room is an oasis in an otherwise average department store. One would expect that The Room boasts amazing customer service and VIP treatment, that goes without saying when you’re purchasing designer labels that exceed the average customer’s monthly pay cheque. Wooing socialites and the upper crust is an important strategy, but it would be great to see leaps and bounds made for service to the everyday socialites at both retailers. The Bay is doing a great job of securing better brands, but their staff is either non-existent or ill-informed. I do suppose that’s better than Holts very unwelcoming crew who give off the impression that they’re doing you a favour just by being there. Bottom line, anywhere you patron with the intent to one day spend your hard earned dollars should treat you like royalty. Champagne would be nice, but a genuine hello, prompt service, and knowledgeable staff goes down just as smoothly.

    November 3, 2010 at 8:08 am | by Tamika A.
  6. We moved to Canada from Asia a year ago and had no experience with Bay or Holt prior to our arrival.
    By the way, we are originally from the USA and Toronto is one of the most fabulous cities in the world. You Canadians have so much to be proud of.
    The merchandise at Bay reminds me of the pedestrian, non-descript inventory at most malls in the Midwest USA (Ohio, Iowa, Indiana). The stores feel dated but service is adequate.
    Holt’s offers a higher end product and the experience feels special. The window display on Bloor Street is on par with Barney’s New York. I had a snotty salesclerk in the Shoe Department last week but found a pair I wanted.
    I’ve been impressed with Toronto’s independents including Over the Rainbow, David’s and the fabulous WANT boutique.
    The hardest part is paying a 20-40% premium on the same merchandise I could buy in the US. The same pair of 7 for all Mankind jeans were $248 at Over the Rainbow and $168 at Nordstrom. Grrrrr.

    November 3, 2010 at 8:52 am | by nktokyo
  7. I think the end of this article sums it all up…as with alot of things in life, it’s “location, location, location.”!!! You (well not me that often, to be truthful…although occasionally!!) can leave Holts and quickly stroll to Tiffany’s, Louis Vuitton, etc. etc. etc. You can leave The Bay Queen Street and stroll to…where and what exactly?!? Now, I’m talking about the high-flying, high-spending shopper that this article seems to mostly be talking about. Holt’s, with it’s prime LOCATION, is more of a destination that people with that kind of money will be drawn to like the proverbial bees to honey. Yonge and Queen?!? Not for those rarefied shoppers. Interesting to see how this will all play out. Also, this article is really only focusing on mostly women…there are a fair number of men who drop a fair bit of money on apparel and again, you can leave Holts and go to Harry Rosen’s flagship on Bloor, etc. etc. etc. You get my point. Maybe “The Room” should have somehow been incorporated into The Bay’s
    Yonge and Bloor store?!?!? Just a thought…..one thing I totally agree with in this article?!? The service in both stores leaves ALOT to be desired.

    November 3, 2010 at 9:30 am | by Don Mitchell
  8. The room at the bay has the worst customer service. Several times I have been left standing around holding clothes – sales people will walk buy but no one will ever ask me if I need help or would like to try on the pieces I am holding. I could drive up to yorkville, park and be in a change room before anyone at the Room bothered to look at me.

    November 3, 2010 at 9:38 am | by Sarah
  9. While I applaud the efforts to improve the look of the fashion floors, elsewhere the flagship store of The Bay falls far short of Holt Renfrew; however Holt has its problems too. The service is absolutely terrible in The Bay, but then it always has been; however, often customer service at Holt Renfrew is not much better. Holt’s sister store Brown Thomas of Dublin is staffed with polite and knowledgeable individuals who appear to actually like their jobs. Both Galen Weston and Bonnie Brooks could take a note out of the Brown Thomas training manual. Aside from staff issues, I have to say that overall the worst affront by far has been on the part of The Bay for not yet demolishing the disgusting women’s washroom on the housewares floor (basement). Please for the sake of sanitation tear down this filthy loo and replace it with something comparable to the ones at Holt, and then you might have me onside.

    November 3, 2010 at 10:02 am | by Jennifer
  10. Let’s see what happens in 3 years when Richard Baker puts the Bays real estate back on the market like he did last year when he was cash strapped. He saw the value of the Bays amazing real estate which is valued pretty much on par with the Bays 92 stores and that’s why he bought the Bay. This is just another real estate deal with a retail spin on it. When Baker slips out the back door there will be some others foreign private equity group ready to try to make a quick buck from the Bay and dazzle us with another super CEO ready to try to shake things up and get some good press.

    November 3, 2010 at 10:04 am | by Broker
  11. I love the Bay. I’m more of a White room shopper and think it’s great to be able to buy anything I need at the same store. I walked into Holts 4 years ago and received such a judgmental look and a negative comment from the staff that I left and never went back.

    November 3, 2010 at 10:14 am | by elk
  12. just fly to nyc on porter (or if you are the really rich, private plane) and shop there. The money spent on the flight/hotel is about as much as the mark-up.

    November 3, 2010 at 12:24 pm | by ni
  13. The Bay invites me to more parties. Bay1/Holts 0

    November 3, 2010 at 12:25 pm | by social
  14. The Bay and Holts have only one thing in common, they are both fashion department stores.
    The BIG difference is, that Holts only attracts one high end customer but yet at The Bay, it has a wide range of fashion available from a moderate to higher pricepoint.
    At Holts, you have to pay a fortune to look good, at The Bay, you can pay a fortune if you want, but there is also the option to not.
    The Bay understands that not everyone can afford the See by Chloe boot so instead also offers an over the knee boot for 99.99.
    I think we should celebrate that The Bay has still recognized the fashion forward moderate customer and yet still maintains the integrity of a high end fashion department store. Three cheers for The Bay!!

    November 3, 2010 at 4:59 pm | by Three Cheers for The Bay!
  15. Seems like Bonnie Brooks is spending a great deal of ‘not her own money’. Maybe this is a real estate play for Richard Baker afterall, as it hardly makes sense to think that 5 socialites will support all the sales at The Room. Also Shinan Govani can drop as many names and promote his boyfriend all he wants,if nobody buys the clothes that The Bay is putting out there, the whole thing will fail miserably.

    November 3, 2010 at 6:10 pm | by Amused

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